Project Management Set 3

QN1. Which of the following is not an objective of project management

a) Achieve specified performance

b) Complete on schedule

c) Complete within the budgeted cost

d) Eliminate complexities and risks

Answer

Answer: d) Eliminate complexities and risks

QN2. Projects are characterized by all of the following except

a) Continuous activities

b) Unique elements

c) Complex interdependencies

d) Environment of conflict

Answer

Answer: b) Unique elements

QN3. Which of the following is not a phase in a project life cycle

a) Start up

b) Building phase

c) Control phase

d) Termination

Answer

Answer: b) Building phase

QN4. All the work that needs to be done to attain a project objectives is

a) Scope

b) Risk

c) Vision

d) Strategy

Answer

Answer: c) Vision

QN5. Document issued by senior management that formally authorizes the existence of a project

a) Project charter

b) Work Breakdown Structure

c) Vision document

d) Work Authorization letter

Answer

Answer: a) Project charter

QN6. Which of the following does not clearly indicate the qualities of a project manager

a) Project manager must be able to define how success or failure of a project is determined

b) Project manager should build and maintain a good communication network

c) Project manager should be rigid

d) Project manager must have sufficient experience in handling projects

Answer

Answer: c) Project manager should be rigid

QN7. A Greenfield project means

a) A project that is started from scratch

b) An environment friendly project

c) A project that produces green products

d) A project that is completed at a cost less than the budgeted cost

Answer

Answer: a) A project that is started from scratch

QN8. Which of the following is not a demand on the Project Manager

a) Acquiring and motivating team members

b) Negotiating

c) Taking a rigid stand on goals

d) Dealing with obstacles

Answer

Answer: c) Taking a rigid stand on goals

QN9. All are the skill requirements of a Project Manager except

a) Technical skills

b) Communication skills

c) Cultural skills

d) Interpersonal skills

Answer

Answer: c) Cultural skills

QN10. Which of the following is not a demand on the Project Manager

a) A functional manager uses analytical approach whereas a project manager uses systemic approach

b) A functional manager is a technological supervisor whereas a project manager is a facilitator

c) A functional manager is a generalist whereas a project is a specialist

d) The communication requirements of a project manager is comparatively greater than that of a functional manager

Answer

Answer: c) A functional manager is a generalist whereas a project is a specialist

QN11. Which one of the following is not a disadvantage of a functional approach to project organization

a) Client gets the least focus or concern

b) Orientation towards the activities of the function

c) Motivation of the people assigned to the project tends to be very high

d) There won’t be a single person in charge of the project

Answer

Answer: d) There won’t be a single person in charge of the project

QN12. A project organization is characterized by all except

a) A project manager has full line authority over the project

b) The level of commitment from the members is high

c) A pure project organization is structurally complex

d) Unit of command exists in a pure project organization

Answer

Answer: c) A pure project organization is structurally complex

QN13. All are the advantages of a matrix organization except

a) In a matrix organization PM is the centre of authority

b) The project can draw required expertise from functional areas

c) In a matrix organization the project gets full focus

d) The response to client needs is highly rapid

Answer

Answer: a) In a matrix organization PM is the centre of authority

QN14. All are major behavior problems facing a project manager except

a) Perfectionism

b) Remuneration

c) Motivation

d) Conflict

Answer

Answer: b) Remuneration

QN15. A project manager would find team development the most difficult in

a) Project organization

b) Functional organization

c) Matrix organization

d) Flat organization

Answer

Answer: c) Matrix organization

QN16. What a project manager should do to set clear boundaries for a project completion

a) Completion of Scope statement

b) Work Breakdown Structure

c) Linear responsibility chart

d) Create risk register

Answer

Answer: a) Completion of Scope statement

QN17. All of the following are characteristics of a Work Breakdown Structure (WBS) except

a) WBS is a tree structure that shows a sub division of efforts required to achieve an objective

b) WBS is developed by starting with the end objective

c) WBS expresses the scope of a project in graphical form

d) WBS incorporates the time / schedule of each of the activities

Answer

Answer: c) WBS expresses the scope of a project in graphical form

QN18. The lowest element in a Work Breakdown Structure is

a) Work package

b) Program

c) Task

d) Costs

Answer

Answer: a) Work package

QN19. A linear responsibility chart has all the following except

a) Shows who is responsible for what

b) Shows critical interfaces between units that needs special coordination

c) It shows who must approve what and who must report to whom

d) Provides the cost and schedule of each of the task

Answer

Answer: d) Provides the cost and schedule of each of the task

QN20. If you are allowed to choose only one tool to manage a project, which one would you choose

a) Work Breakdown Structure

b) Gantt Chart

c) Resource chart

d) Risk register

Answer

Answer: a) Work Breakdown Structure

QN21. All are the traditional categories of conflict in a project except

a) Cost based

b) Goal-oriented

c) Authority-based

d) interpersonal

Answer

Answer: b) Goal-oriented

QN22. Which of the following is not a source of conflict

a) The project team itself

b) The client

c) The remuneration

d) Senior management

Answer

Answer: b) The client

QN23. All are points of ‘principled negotiation’ except

a) Focus on the people rather than the problem

b) Focus on interests, not positions

c) Identify options for mutual gains before trying to reach an agreement

d) Use objective criteria

Answer

Answer: c) Identify options for mutual gains before trying to reach an agreement

QN24. Scheduling and technical conflicts are more frequent during

a) Start up phase

b) Build up phase

c) Maturity phase

d) Termination phase

Answer

Answer: a) Start up phase

QN25. All are critical issues handled in a project formulation phase except

a) Specifying the technical objectives

b) Committing the resources for the project

c) Deciding the number of vendors that will take part in the tendering process

d) Selecting the project organizational structure

Answer

Answer: c) Deciding the number of vendors that will take part in the tendering process

QN26. Which of the following is not related to scope creep

a) Occurs at the planning stage of the project

b) Happens due to poor change control

c) May occur due to lack of proper definition at the initial stage

d) May occur due to strong customer requirements

Answer

Answer: a) Occurs at the planning stage of the project

QN27. A budgeting method that begins with those who will be doing the tasks is called

a) Top-down budgeting

b) Bottom-up budgeting

c) Program budgeting

d) Zero budgeting

Answer

Answer: b) Bottom-up budgeting

QN28. All are project control tools except

a) Trend projection curve

b) Peer review

c) Critical ratios

d) Control charts

Answer

Answer: b) Peer review

QN29. A standard for performance, established at the beginning of the project for later comparison is

a) Baseline

b) Budget

c) Deliverables

d) Mission

Answer

Answer: b) Budget

QN30. An uncertain event or condition that if it occurs has a positive or negative effect on project objectives is

a) Scope

b) Risk

c) Communication

d) Delays

Answer

Answer: b) Risk

QN31. An analysis carried out to estimate the potential size of the market for the product is

a) Market and demand analysis

b) Technical analysis

c) Financial analysis

d) Process analysis

Answer

Answer: a) Market and demand analysis

QN32. Technical analysis for a project is concerned with all of the following except

a) Manufacturing process

b) Composition of the product market

c) Plant capacity

d) Material inputs and utilities

Answer

Answer: b) Composition of the product market

QN33. The cash flows occurring at the end of the project life on account of project liquidation is

a) Initial investment

b) Operating cash inflows

c) Terminal cash inflows

d) Profit

Answer

Answer: c) Terminal cash inflows

QN34. To assess the risk of a project which of the following may not be useful?

a) Sensitivity analysis

b) Scenario analysis

c) Monte carlo simulation

d) Network analysis

Answer

Answer: a) Sensitivity analysis

QN35. The network that combines signal flow graph theory, probabilistic networks and decision trees is called

a) GERT

b) PERT

c) CPM

d) Gantt chart

Answer

Answer: a) GERT

QN36. Which of the following is not a characteristic of PERT chart?

a) Uses three time estimates

b) Probabilistic

c) Activity crashing possible

d) Can be best used for research project

Answer

Answer: c) Activity crashing possible

QN37. All are related to Activity On Arrow (AOA) network except

a) Activities are shown on the arrow whereas the two ends of the activity represent the start and finish nodes

b) Dummy activities are used to represent two activities having the same start and finish nodes

c) Looping is allowed in AOA network

d) Strictly follows precedence relationship of activities

Answer

Answer: a) Activities are shown on the arrow whereas the two ends of the activity represent the start and finish nodes

QN38. An earned value chart does not show

a) Scheduled progress

b) Actual work

c) Actual cost

d) Risk

Answer

Answer: a) Scheduled progress

QN39. The process of allocating the required number of resources to each of the activity is known as

a) Resource Loading

b) Resource Leveling

c) Resource Smoothing

d) Resource Matching

Answer

Answer: c) Resource Smoothing

QN40. Who should be involved in the creation of lessons learned, at the closure of a project?

a) Project team

b) Management of the performing organization

c) Project vendors

d) Stake holders

Answer

Answer: a) Project team